AIR CARG O WEEK


WORLD AIRLINES


F


CARGO’S NEW GOLDEN ROUTE BY Edward HARDY A 16


“Our partnership with Etihad sets a strong example.”


new cargo joint venture is set to reshape global logistics, combining the strengths of China’s SF Airlines and Etihad’s Abu Dhabi hub. Centred on leveraging key regions—China, the Middle East, and Europe—this alliance promises not only faster, more reliable service but a leap in technological integration and operational ingenuity.


The joint venture capitalises on unmatched geography and complementary


networks. In the past two years, Etihad and SF have progressed from tentative collaboration to a full-fledged alliance. As Etihad CEO Antonoaldo Neves explains: “We’ve been working together in different forms of collaboration over the past few years, and it’s doing very well. It’s like… get engaged and then you get married.” That marriage is driven by clear, strategic benefits. Etihad brings to the table a state-


of-the-art cargo hub in Abu Dhabi, where “hundreds of millions of dollars” are being invested—culminating in new handling facilities by 2027 and the region’s sole parallel runway approach, ensuring that cargo operations won’t be delayed by passenger flights. Li Sheng, Chairman of SF Airlines, echoes this, noting that SF’s domestic


expansion in China has created global demand: “At SF Airlines, we strongly found that our current air network IS not sufficient to support our clients and to meet our clients’ business request and working with Etihad provides us a lot of opportunities.” He highlights Abu Dhabi’s role in supporting that global expansion: “Geographically


speaking, Etihad is located in the Middle East and provides very good connection and coverage to Europe and Middle East. And there are services, there are frequencies and their capacity, provide SF and our clients a reliable solution.” In essence, Etihad’s reach into Europe and Africa fills the gaps in SF’s international


footprint, while SF’s Chinese network enhances throughput into the UAE. Neves unpacks this synergy: “SF brings expertise… relationships into the Chinese market. We bring Abu Dhabi, the UAE. We bring Europe because we have a lot of passenger belly into Europe that … can be used for cargo.” Together, they form a logistics powerhouse linking 2 billion people within four hours


of Abu Dhabi—Europe reachable in seven to eight hours, China in seven or eight, and India in three. Such connectivity gains are a critical component of this venture.


Cargo types, e-commerce and reliability At the heart of this alliance is a focus on volume, margins and customer experience—not just market share. Neves describes a portfolio approach: “General cargo is important. e-commerce is important. Pharmaceutical


important… Our objective in the end is to drive volumes and our margins… we’re here to make money and at the same time deliver great customer experiences.” Real-time connectivity and tracking, like their newly launched 30-day pallet


tracking tool, demonstrate a customer-first approach: “Customers that want service… want a company that can provide a great network—is what we focus on.” e-commerce is a dominant driver, and Li Sheng emphasises the alliance’s ability


to serve niche markets: “The e-commerce… expanded in the last few years very quickly… there is no one


company that could support all this demand… working with a network company… is very important, and this is why we work with Etihad.” He explains: “Etihad’s network… provides us with a great coverage to Europe, to


some destinations which are not traditional cargo destinations … the volume may be not very high, but it requires very high frequencies… perfect match.” SF’s domestic freighter


fleet, now bolstered by Etihad’s bellyhold capacity on ACW16 JUNE 2025 www.aircargoweek.com


passenger flights, allows them to serve smaller-volume, high-frequency e-commerce routes—like rural or non-major airfields across Europe—that otherwise might be underserved. Combined, they can meet global demands with speed, flexibility, and depth.


Shared values and efficiency Trust between partners often stems from more than contracts—it’s built on shared values and operational excellence. Neves stresses: “We wouldn’t be setting up a cooperation with a player that we don’t believe is at the forefront of cargo logistics… SF comes to Abu Dhabi, and they see… the investment, the new cargo facilities, … how much attention we pay to customer service… we run an airline that is very… efficient and on time.” He adds: “If my airline is not on time, the cargo cannot be on time.” The trust


emerges not from legalese but a shared DNA of humility, simplicity, efficiency and ROI-focused business, says Neves. Li Sheng mirrors the sentiment: “No single company can meet all client needs


in global logistics. Our partnership with Etihad sets a strong example of how collaboration creates value, expands network synergy, and brings incremental business for both parties.” Operational efficiency is key. Neves highlights the UAE’s rapid development tempo:


“When you want to build… a new facility… it doesn’t take more than two years… in other countries, it takes four, five, six, seven years.” That speed, coupled with stability, a pro-business legal framework, and safety—


Abu Dhabi being one of the world’s safest cities—makes the hub ideal for long-term cargo operations.


Innovation and tech This alliance is not just about capacity—it’s about smart logistics. SF Airlines self-identifies as “not only a logistics company, but also a tech company… innovation is part of our DNA.” SF has pioneered drone operations in China, and Li expects that innovation to scale globally: “We provide the advanced IT technology… interface this technology into our services to better serve our clients… It’s an important… chain of SF to rebuild our global supply chain business… we shall definitely learn from each other and improve.” Neves also confirms a tech-driven future under the joint business agreement: “We


is


have models to do pricing… they have models to price… we have systems to track performance… we have the framework… to exchange ideas… that’s going to spur and create innovation.” As joint operations mature, we can expect shared systems for tracking, logistics


optimization, automation, and AI, creating an integrated global cargo platform driven by real-time data.


Looking ahead This partnership is just the beginning. SF views the Etihad JV as a template for global expansion: “We… have a long way to go in other areas… We shall keep working… keep finding


partners in our expansion… but most importantly, we prefer to take our partnership with Etihad… to optimise our network synergy and operation… definitely create values.” Neves underlines the joint commitment to sustainable growth: “It’s not about just


building market share… we talk about ROI. We are here to deliver good customer service and make money.”


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22